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CC 02-04-2025 Item No. 10. Photovoltaic Systems Design & Installation Project_Staff PresentationCity Council Meeting February 4, 2025 CAPITAL IMPROVEMENT PROGRAMS Photovoltaic Systems Design & Installation Project Subject Award of a design-build contract to Syserco Energy Solutions for $4,339,881 and award a project management and construction management agreement to 4Leaf, Inc. for $225,000 for the Photovoltaic Systems Design and Installation Capital Improvement Programs Project. Tonight’s Action Recommended Action 1. Award a design-build contract for the Photovoltaic Systems Design and Installation Project (budget unit 420-99-274) in the amount of $3,939,881 with Syserco Energy Solutions, Inc., as the Design-Build Entity. 2. Authorize the City Manager to execute the design-build contract with Syserco Energy Solutions, Inc. with substantially similar terms as those in the draft contract in Attachment A, when all conditions have been met. 3. Authorize the Director of Public Works to execute any necessary change orders up to a contingency amount of $400,000 (approximately 10%) for a total contract amount of $4,339,881. 4. Authorize the City Manager to execute a professional services agreement with 4Leaf, Inc. for project and construction management services, for a total not-to-exceed contract amount of $225,000. Tonight’s Action •City Council Meeting: March 19, 2024, project proposed as part of FY24-25 CIP •Planning Commission Meeting: April 9, 2024, General Plan Compliance •City Council Meeting: June 4, 2024 - Approving the PV project as part of the CIP within the City's Annual Budget for Fiscal Year 24/25 •City Council Meeting: October 1, 2024: to approve design-build contract procurement method for the project •Sustainability Commission Meeting: October 17, 2024 •Community Meeting: October 29, 2024 •Parks and Recreation Commission Meeting: November 7, 2024 •City Council Meeting: December 3, 2024: to approve the conceptual design and confirm the number of sites Background Information: Public Meetings •City Council Meeting: October 1, 2024: to approve design-build contract procurement method for the project •Design-Build Entity RFP: October 9 – 31, 2024 •Design-Build Entity RFQ: November 14 – December 19, 2024 •PM/Construction Management RFP: January 6 – 27, 2025 •City Council Meeting: February 4, 2024: to award Design-Build Entity contract and PM/CM agreement Background Information: Procurement Process Costs & SavingsCost & Savings Costs & Savings: Implement 3 Sites •Annual Cost Savings: $290,875 projected, with $13.4M 30-year lifecycle savings •Cost of Design and Construction ($4.4M) is less than project budget ($6.3M) •Net cost to City after IRA reimbursement: $2.5M projected •Net cost to City without IRA reimbursement: $4.4M projected; $1.5M differential and longer payback period •Project completion timeline for NEM2.0 compliance is April 2026 (time is of the essence). Costs & Savings: Fiscal Summary Recommended Action 1. Award a design-build contract for the Photovoltaic Systems Design and Installation Project (budget unit 420-99-274) in the amount of $3,939,881 with Syserco Energy Solutions, Inc., as the Design-Build Entity. 2. Authorize the City Manager to execute the design-build contract with Syserco Energy Solutions, Inc. with substantially similar terms as those in the draft contract in Attachment A, when all conditions have been met. 3. Authorize the Director of Public Works to execute any necessary change orders up to a contingency amount of $400,000 (approximately 10%) for a total contract amount of $4,339,881. 4. Authorize the City Manager to execute a professional services agreement with 4Leaf, Inc. for project and construction management services, for a total not-to-exceed contract amount of $225,000. Tonight’s Action Thank You!